Commonwealth Bank
Australia's largest retail bank by mortgage book size with the strongest digital platform.
- Largest digital banking platform (CommBank app, NetBank)
- Branch network unmatched among the majors
- Wealth Package bundling discount scales with loan size
- Fast electronic valuation turnaround on most metro postcodes
- Headline rates rarely sharpest on the market
- Wealth Package annual fee around $395-400
- Discretionary pricing above $1m can take longer to lock in
- Investor and interest-only pricing carries a premium
CBA's Wealth Package discount tier scales with loan size; sharpest discount above $750,000 loan amount.
Westpac
Australia's second-largest Big 4 with multiple group brands (St.George, Bank of Melbourne, BankSA).
- Multiple group brands provide additional flexibility on pricing
- Premier Advantage Package competitive on loans above $500,000
- Strong construction and investor lending capability
- Established broker channel and accredited lender on every panel
- 1H FY26 arrears trending up on WA and outer-metro Sydney book
- Headline variable rates rarely sharpest in the market
- Premier Advantage annual fee may not pay off on smaller loans
- Same packaged-lender pattern as CBA
Westpac's Premier Advantage discount tier scales similarly to CBA Wealth Package; rate gap between the two rarely exceeds 10 basis points at any given tier.
The structural similarity
CBA and Westpac are structurally similar lenders. Both are Big 4 ADIs with national branch networks. Both run a packaged variable product (CBA Wealth Package, Westpac Premier Advantage) as the headline offering, bundling offset and credit card with a discounted rate in exchange for an annual fee. Both also offer a stripped-back lower-rate alternative (CBA Extra, Westpac Flexi First Option) for borrowers who do not need the package bundle.
For most borrowers, the practical choice between the two is rarely about product structure. It is about which bank already has the existing banking relationship, which branch is more convenient, and which discount tier the broker can negotiate. The rate gap between the two on any given tier rarely exceeds 10 basis points.
Where CBA has the edge
CBA's scale advantages are real. The CommBank app and NetBank platform are widely regarded as the best digital banking experience among the majors. The branch network is the largest. The retail customer base is the largest, which means more borrowers walking in already have an existing CBA banking relationship that streamlines the application.
CBA also has stronger first home buyer infrastructure: it is one of the largest participating lenders in the First Home Guarantee scheme and has dedicated FHB product variants. For clean FHB files, CBA is one of the first lenders most brokers will quote.
Where Westpac has the edge
Westpac's multi-brand structure (St.George, Bank of Melbourne, BankSA) provides pricing flexibility that CBA does not have. A broker comparing across the Westpac group will sometimes surface a sharper rate at St.George (NSW) or Bank of Melbourne (VIC) than at Westpac itself, even though all three use the same underlying credit policy.
Westpac is also generally stronger on construction lending. The bank has a well-established construction workflow with experienced credit assessors who write construction files regularly. For borrowers building rather than buying, Westpac is frequently the first major bank quoted.
The 1H FY26 read
Both CBA and Westpac reported half-year results in May 2026 (Westpac on its standard September financial year; CBA on its June year ending with a 3Q trading update). The key signal from the results: Westpac's WA mortgage book is carrying higher 90-day arrears than the national average, attributed to mining services slowdown in the Pilbara catchment. CBA's arrears commentary was more neutral.
For most borrowers nationally, this is not a relevant factor. For WA borrowers specifically, the Westpac arrears trend is a small additional signal to consider; it does not block a Westpac home loan application but is worth knowing.
Which lender for which file
Frequently asked questions
Is CBA or Westpac cheaper for a home loan?
On packaged variable products at the same loan size tier, the rate gap between CBA Wealth Package and Westpac Premier Advantage rarely exceeds 10 basis points. Neither is structurally cheaper; the decision is typically about which existing banking relationship streamlines the application.
Which has better digital banking?
CBA's CommBank app and NetBank platform are widely regarded as the best digital banking experience among the Big 4. Westpac has a competent but less polished platform.
Which is better for first home buyers?
Both are major participating lenders in the federal First Home Guarantee scheme. Both have dedicated FHB infrastructure. The decision is typically about file-specific credit policy fit rather than a clean winner; a broker compares both.
Does Westpac own St.George, Bank of Melbourne and BankSA?
Yes. All three are Westpac group regional brands operating under the same underlying credit policy but with separate brand identity, branch network and pricing tier. A broker comparing across the Westpac group can sometimes surface a sharper rate at one of the regional brands.
Can I refinance between CBA and Westpac?
Yes, both accept external refinance applications. The credit assessment is treated as a fresh application; the APRA 3 per cent buffer applies in full unless the file qualifies for the streamlined like-for-like refinance carve-out under APG 223.